The company, specialising in commercial printing and design, has gone into administration after losing a large contract and suffering with cashflow. The company has now ceased trading and 39 people have been made redundant.
Founded in the 1980s, the company produces brochures, web design, posters, business cards and has been involved in large printing projects.
Guy Mander and Jill sandford of Baker Tilly were appointed joint administrators to the Telford-based firm. It’s been reported there has been some interest in buying some of the business’s assets.
Jill Sandford, commented, “The loss of a major contract and the associated cashflow implications meant that administration was necessary in order to protect the remaining assets for the benefit of creditors.”
Administration can be a very powerful tool to protect a business when facing debt problems and potential legal actions. A restructure is inevitable in administration in order to save parts of the business and assets as it is the company’s duty to maximise creditors’ interests in the event of insolvency.